Travel Agency Business Plan

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I.- Travel Agency Executive Summary

Business Overview

[Company Name] has created a travel agency business plan that offers the U.S. and international travel packages for travel enthusiasts living and working in [Location]. It offers a wide selection of top national and international cities, island getaways, and small, hidden gem vacation spots.

Founded by best friends, [Founder 1] and [Founder 2], who love to travel, [Company name] was established by true travel enthusiasts with a deep passion for travel. It aims to satisfy the travel needs of any traveler and aspires to have travel packages for trips to North America, Latin America, Asia, Europe, and the Pacific Islands.

Services

[Company Name] has created a travel agency business plan that offers U.S. Travel Packages, International Travel Packages, sightseeing, and food exploration packages, luxury travel, and group and solo packages.

Customer Focus

[Company Name]’s travel agency business plan that will primarily serve residents who live in [Location]. The demographics of these customers include 92,500 residents with an average income of $86,500. 69% of our target group is married, and 54% hold management positions. Further, the median age of our target group is 33 years, and 32,863 children live in the community leading us to believe there is a large market of families available for marketing toward.

Management Team

Highlighted in the travel agency business plan, [Founder 1] will serve as the overall head of the business as he has a degree in Business Management from [University] with years of previous experience in managing businesses. [Founder 2] is a graduate of [University] with a degree in accounting. He has been working for big accounting firms and banks in the city and will serve as the company’s accountant.

Success Factors

[Company Name] is uniquely qualified to succeed as there is currently no other travel agency in the community, in which we are entering that offers the same wide variety of travel packages, we offer highly customizable and customer-focused packages, itineraries are created for personal experiences that ensure an authentic vacation, and our management team has a track record of success in the business. Additionally, our travel agency business plan also falls within a market within the U.S. that is successful.

Financial Highlights

[Company Name]’s travel agency financial model has found that $350,000 in funding is necessary to launch. $115,000 of funding will be used for travel-related expenses, $85,000 will be used for design, and $150,000 will be used to pay for marketing, salaries, and lease costs until [Company Name] breaks even.

II.- Travel Agency Business Overview

Who is [Company Name]?

[Company Name] offers international travel packages for travel enthusiasts living and working in [Location]. The company offers a wide selection of vacation packages, from adventures to sightseeing, to food-themed trips. [Company Name] has created a travel agency business plan that aims to satisfy the travel needs of any traveler.
[Company Name] offers a wide selection of destination services from top national and international cities, island getaways, and small, hidden gem vacation spots. Its services will span North America, Latin America, Asia, Europe, and the Pacific Islands.
[Company Name] is a travel agency that prioritizes the needs of its clients and focuses on providing the best, most authentic travel experiences. The company’s service offering will hinge on quality service and product offerings.

[Company Name]’s History

[Company Name] was founded by best friends, [Founder 1] and [Founder 2] who love to travel. [Founder 1’s first name] and [Founder 2’s first name] have been traveling together for years and found a common denominator in all the travel agencies they have tried; packages were either overpriced and not worth it or didn’t offer exciting deals. At this point, the founders created a travel agency business plan after realizing a lot of people have been traveling without truly fully experiencing the place and the culture.

In [Month, Year], [Founder 1] and [Founder 2] launched [Company Name], creating travel experiences based on their personal experiences and were carefully curated to meet the loftiest expectations.
Since incorporation, the Company has found office space and signed a Letter of Intent to lease it, developed the company’s name, logo, and website located at [website], established an online presence on major social media networking sites, developed a service menu and pricing model, and recruited a full-time assistant.

[Company Name]’s Products/Services

[Company Name] will be able to provide the following services:

• U.S. Travel Packages


• International Travel Packages


• Sightseeing and Food exploration packages


• Luxury Travel


• Group and Solo Packages

III.- Travel Agency Industry Analysis

In recent years, many travel agency franchises have grown due to their specialization in selling cruises and other complex travel packages that cannot easily be booked directly online. While over 60% of travel agents are now home-based, a trend that has increased industry profit, it is being noticed that home-based operators have fewer expenses than traditional brick-and-mortar businesses. The industry’s key drivers include international trips by US residents, consumer spending, and domestic trips by US residents.

International trips by US residents: The departure of US residents to international destinations is a key driver of this industry. US residents use travel agencies to book airfare, cruise ships, accommodations, and tour packages, driving industry growth.
Consumer spending: Changes in consumer spending affect how much individuals spend on travel-related expenses. As consumer spending increases, travel spending is likely to increase as well, which bolsters demand for the travel agencies that book those trips.

Domestic trips by US residents: Trends in residents traveling within the United States on overnight trips for vacations, business, or other purposes are key factors influencing revenue for this industry. An increase in domestic trips by US residents typically benefits travel agencies, since they may use travel agencies to book those trips.
Considering [Company Name]’s founder’s experiences in traveling, we expect our travel agency business plan to succeed regardless of location. Further, the founders have both experienced experiences that are considered key drivers for the industry and therefore will be able to meet consumer needs based on their personal experiences.

What you Get in Your Travel Agency Business Plan Package

IV.- Travel Agency Customer Analysis

Profile of Target Market

Company Name] has created a travel agency business plan that seeks to serve the residents, workers, and travel enthusiasts in [company location] and the immediate surrounding area.
The area we serve is a city with a very diverse population group. The city has mostly moderate to high-income families and individuals who can afford to avail the services of a travel agency. Most of the population are working individuals with disposable income, but little free time, so they need someone to help plan their vacations.

Demographics

The precise demographics of the town in which our retail location resides are as follows:

Customer Segmentation

Highlighted in the travel agency business plan, [Company Name] will primarily target families, individuals and couples, and businesses.
Our largest target market will be families who are seeking leisure travel in the U.S. We aim to provide these families with travel services that will give them unique and affordable vacation experiences. Further, we will market to individuals and couples who are seeking unique, highly customized travel itineraries. Individuals and couples without children generally have more disposable income and appreciate curated experiences.
Finally, some companies travel with their employees for team-building activities and the like. We plan to contact these companies and provide them with travel packages for groups.

V.- Travel Agency Competitive Analysis

Direct & Indirect Competitors

[Company Name] found in its travel agency feasibility study that its three top competitors are Travel Planner Inc., Travel with Thomas, and Travel Network.
Travel Planner Inc. was founded in 1994 and offers home-based franchises, with franchisees selling leisure cruises and other packaged vacations full- or part-time. The company offers land excursions and cruise ship vacations in Alaska, Asia, Australia, New Zealand, Bermuda, the Caribbean, Europe, Hawaii and the South Pacific, the Mediterranean, Mexico, and the Panama Canal. Cruise Planners also offers wedding planning services for shore-side ceremonies in the United States. Travel Planner Inc. now has an estimated 3,266 franchisees in the United States.

The company’s growth strategy relies on competitive pricing, quality, reputation, and service. Travel Planner Inc. also specializes in group travel, such as destination weddings and associations, which could attract consumers willing to spend more.
Travel with Thomas was established in 2012 and is a cruise travel planner specializing in Europe, Mexico, and The Caribbean. In addition, this full-service travel agency offers a variety of other travel arrangements, such as Destination Weddings and Missionary / Faith Tourism.

The agency works to stay current in the world of travel, and cultivate relationships with Preferred Suppliers. They also offer exclusive American Express Cardmember benefits.
Travel Network was established in 1998 and is a travel agency that bills itself as a “personal travel concierge.” To do this, helps customers find the destination and resort that meets their expectations. In addition, someone from the agency is always on call when traveling with clients.

The agency specializes in Destination Weddings and Honeymoons; Sandals & Beaches Resorts; Karisma Hotels GIVC; Princess and RCCL Cruises; Disney Family Adventures & Disney Vacations; European Tours, Independent Travel, and River Cruising.
Furthermore, it is certified for these destinations: Jamaica, Las Vegas, Mexico, Aruba, Alaska, Hawaiian Islands, New Zealand, and many more.

What you Get in Your Travel Agency Business Plan Package

Competitive Advantage

[Company Name] enjoys several advantages over its competitors including location, client-oriented service, proper management, and relationships.
After performing a travel agency feasibility study, it was determined a prime location was necessary for the future success of any travel agency therefore we invested the necessary funds to lease a prime location. [Company Name]’s location is near the center of town, in the shopping district of the city. It is visible from the street where many small business owners and managers walk to and from work daily and meets the standards found to be important in the study. Further, we offer client-oriented service and have hired a full-time assistant who will keep in contact with clients and who will be available to answer questions. The founders realize the importance of accessibility to their clients and will further keep in touch with their clients through monthly webinars on topics of interest. To complement their efforts in client-oriented service, the founders have heavily focused on their management team. With their successful history in the industry, the founders have sought to leverage their experience to provide customized travel packages that suit their every need. Finally, having lived in the community for 25 years, The founders know many of the local leaders, newspapers, and other influences.

VI.- Travel Agency Marketing Plan

The [Company Name] Brand

The [Company name] has created a travel agency business plan with a brand will focusing on the Company’s unique value proposition including its client-focused service and product offerings, travel packages that suit any travel style, affordable and high-quality travel packages, and hassle-free transactions.

Promotions Strategy

[Company Name] has created a travel agency business plan with a marketing model focused on social media and online marketing, publications, commute advertising, direct mail, and ongoing customer communications.
With most of the people now online, the company will invest resources in online ads for different social media platforms to reach potential clients. We will create ads that will successfully create positive conversions. A company website will also be developed. This website should be able to direct traffic from search engines as much as possible; to do this, the company will use highly focused, specific keywords to draw traffic to its website, where potential clients will find a content-rich site that presents [Company Name] as the trustworthy, well-qualified travel agency that it is.

[Company name] will also place print advertisements in key local publications, including newspapers, area magazines, and local sports programs. Additionally, the Company will print brochures and place them in specific locations frequented by target individuals, such as supermarkets and real estate offices. To complement its efforts in local publications, [Company Name] will also make careful use of advertising in selected larger publications. [Publication or newspaper name] has a circulation of XYZ and we can expect to reach a wider geographic region of customers on a limited basis. Advertisements with major publications will be used selectively, based on cost-effectiveness. These ads will include discount coupons so that responses to the ads can be tracked.

Commute advertising will further drive attention toward [Company name] by hiring workers to hold signs alongside [route or highway]. Advertising on heavily traveled commute routes is an opportunity to alert large numbers of working individuals with disposable income of our opening.

Further [Company Name] will blanket neighborhoods surrounding its locations with direct mail pieces. These pieces will provide general information on [Company Name], offer discounts, and/or provide other enticements for people to purchase our services. Finally, [Company Name] will maintain a website, and social media accounts, and publish a monthly email newsletter to tell customers about new offers and more.

VII.- Travel Agency Operations Plan

Every week The Company intends to employ [X] travel leaders, [Y] administrative assistants, and [Z] Accounting and management staff. [Company Name] may have to add more people during peak seasons. [Company name] anticipates having [X] customers every week.
To launch [Company Name]’s travel agency business plan, the Company needs to perform several functions. [Company name] anticipates using the services of X employees, broken up into service functions and administrative functions. The service functions will require travel agents, and customer service representatives while the administrative functions will require an administrative assistant and an accountant.

What you Get in Your Travel Agency Business Plan Package

Milestones

[Company name]’s long-term goal is to become the go to travel agency in the [city] area, its surrounding cities and even nationally. We seek the standard by which other providers are judged.

The following are a series of steps that lead to our vision of long-term success. [Company Name] expects to achieve the following milestones in the following [xyz] months:

VIII.- Travel Agency Management Team

[Founder 1], who created the travel agency business plan, will serve as the overall head of the business. His degree in Business Management from [University] and his previous working experience with managing businesses give him the knowledge and the know on running [Company Name] [Founder 2] is a graduate of [University] obtained a degree in Accounting,-how and created the travel agency, financial model. He has been working for big accounting firms and banks for over 10 years. At [Company Name], he will serve as the head Accounting Manager who will handle all the finances of the company.

Hiring Plan

To launch our travel agency business plan we will need to hire travel agents, accounting associates, customer service representatives, and marketing associates.

IX.- Travel Agency Financial Plan

[Company Name]’s travel agency financial model reflects how revenues will come from the sale of travel packages and individualsvidual travel components i.e.- flights, hotels, rental cars.
The major costs for the company will be the salaries of the staff and rent for an office location and travel. In the initial years, the company’s marketing spend will be high, as it establishes itself in the market.

Capital Requirements and Use of Funds

[Company Name] has created a travel agency business plan that requires total funding of $350,000 to launch. $115,000 of funding will be used for travel-related expenses, $85,000 will be used for design and build, and $150,000 will be used for marketing, salaries, and lease costs until [Company Name] reaches break-even.

Travel Agency Financial Plan Sources And Uses Report

Key Assumptions

The following table reflects the key revenue and cost assumptions made in the financial model:

Travel Agency Financial Plan Core Inputs

Travel Agency Financial Plan Top Revenues Report

Travel Agency Financial Plan Top Expenses Report

Travel Agency Financial Plan Income Statement

Travel Agency Financial Plan Cash Flow Statement

Travel Agency Financial Plan Balance Sheet Statement